Pavia announces deal on boatyard with BLT

Agreement: Would re-establish a working facility in Stamford, add marina and storage in Shippan

Elizabeth Kim

Updated 10:20 pm, Thursday, March 28, 2013

Mayor Michael Pavia speeks during a press conference at the City of Stamford Government Center on Thursday, March 28, 2013. Plans were announced regarding the boatyard at 205 Magee Ave.
Photo: Jason Rearick

Mayor Michael Pavia speeks during a press conference at the City of...

Mayor Michael Pavia speeks during a press conference at the City of Stamford Government Center on Thursday, March 28, 2013. Plans were announced regarding the boatyard at 205 Magee Ave.
Photo: Jason Rearick

Mayor Michael Pavia speeks during a press conference at the City of...

Building and Land Technology attorney John Freeman shows the plans for the proposed boatyard at 205 Magee Ave. during Mayor Michael Pavia's press conference at the City of Stamford Government Center on Thursday, March 28, 2013.
Photo: Jason Rearick

Building and Land Technology attorney John Freeman shows the plans...

Building and Land Technology attorney John Freeman shows the plans for the proposed boatyard at 205 Magee Ave. during Mayor Michael Pavia's press conference at the City of Stamford Government Center on Thursday, March 28, 2013.
Photo: Jason Rearick

STAMFORD­ -- Mayor Michael Pavia announced Thursday that his administration had struck a deal with Harbor Point developer Building and Land Technology that would re-establish a working boatyard in Stamford with construction of a 6-acre marina and boat storage facility in Shippan and, additionally, provide the city with an estimated $5 million worth of public improvements, including a new animal shelter.

Pavia, speaking during a news conference at the Government Center, described the boatyard plan as the "linchpin" for relocation of hedge fund giant Bridgewater Associates from Westport to Stamford. The company wants to build a $750 million, 850,000-square-foot headquarters on a 14-acre peninsula that was the home of a South End boatyard later razed by BLT. The Bridgewater project would be part of BLT's mixed-use project known as Harbor Point.

The new boatyard expands an existing proposal that BLT submitted last September for a 3.5-acre site it owns at 205 Magee Ave. Pavia said he had agreed to grant the developer a licensing agreement to use an additional 2.4 acres of city property that abuts its property. In a February report released by the city, an independent consultant found the Magee Avenue boatyard to be significantly inferior to the South End boatyard, known as Brewers' Yacht Haven.

Among the findings was that BLT's plan had insufficient storage options, in particular for boats longer than 30 feet, which, according to the report, had represented the majority of boats stored at Brewers.

Under the new plan, which is subject to Zoning Board approval, BLT has said it will provide winter storage for 482 boats "of all sizes," including large yachts and sailboats.

In return for use of city land, BLT has committed to a host of public works projects, most notably the long-awaited rebuilding of the animal shelter, projected to cost $2 million.

The shelter will remain next to the proposed boatyard at 201 Magee Ave. But as part of a land swap, BLT will give the city roughly 4,000 square feet to expand the shelter, which the mayor said would triple its size. The city will provide the developer with an equal amount of land for the boatyard.

The remaining $3 million from BLT will go toward dredging and repairs of slips and docks at two municipal marinas -- Czescik Marina and Cummings Park Marina -- as well as toward an assortment of improvements at Koscuiszko Park, including nearly a mile of new walking trails, a public kayak launch, and fishing platform.

The developer has also agreed to sponsor the city's fireworks show in 2014 and 2015.

Pavia made the announcement at a conference table alongside Joseph Parsons, a senior executive at Bridgewater, and Carl Kuehner, the CEO of BLT, neither of whom commented on the plan. The mayor hailed the deal as one that would "bring to fruition a multi-decade discussion for a great animal shelter" and which would fulfill the principles of the state's Coastal Area Management Act. The law calls for the protection of water-dependent uses.

In a cease-and-desist order that is still pending appeal, the city has accused BLT of violating the CAM Act by dismantling the South End boatyard last year without zoning approval.

Prior to the Bridgewater project, the city itself had gone to lengths to protect the boatyard, which had long been under the threat of development. Under the 2007 Harbor Point zoning approval, a condition required continued boatyard operation. In exchange, the developer was rewarded additional development rights -- 700 housing units and nearly 122,000 square feet of commercial space.

Both Pavia and John Freeman, an attorney for BLT, said putting the boatyard or a portion of it on the proposed Bridgewater site was not feasible.

"We talked about it at length," Pavia said. "I was convinced that the two were not compatible."

During negotiations with BLT, which the mayor said took place over the last six months, the city looked at two other possible boatyard locations, both on private property in the Waterside neighborhood on Southfield Avenue -- the home of Southfield Packaging and the former Petro Fuel Co. site, which has been approved for a housing development. The mayor said the two sites were ruled out because the owners refused to sell.

Asked whether he felt the proposed boatyard was an equal replacement for Brewers, Pavia said it was" equal in all respects" except for size and added that 14 acres had been a "random size" that Brewers did not fully utilize.

In terms of services, Pavia said BLT's boatyard would probably surpass Brewers.

The plan now moves on to the Zoning Board, which has expressed irritation at BLT over its unauthorized removal of the boatyard and lack of transparency. City officials, including the mayor, were not informed about the Bridgewater plan until it was announced last August by Gov. Dannel P. Malloy. As part of a jobs creation initiative, Malloy has agreed to give Bridgewater as much as $115 million worth of tax incentives. In return, the hedge fund has promised to grow its current staff of 1,225 by an additional 750 to 1,000 positions.

On Thursday, Pavia cited a list of benefits that would come from the Bridgewater project, including $50 million in state funding for the widening of the Atlantic Street underpass, $9.8 million worth of building permit revenue and additional annual tax revenues of $6.5 million.

Despite the endorsement from Pavia and Malloy, the plan could still face scrutiny from boaters as well as critics of BLT and the administration.

Among the looming questions is how the city can ensure that a boatyard owned by BLT will remain in perpetuity. At the news conference, Laure Aubuchon, the city's economic development director, said that rezoning the property could solve that problem. But city-owned property, on which a significant portion of the boatyard sits, is not subject to zoning as a general rule, according to the land-use bureau.

The administration is also maintaining that, under the city Charter, a licensing agreement, as opposed to a sale or lease of city land, does not require approval from the city's boards. Pavia said he fully intends to engage the city's main legislative bodies, which would typically be the Planning Board, Board of Finance, and Board of Representatives, but did not respond to a question about what would happen if the boards disapproved of the deal.

The Charter does not specifically address licensing agreements. Sec. C1-50-3 states that, "No purchase or lease of real estate by the City and no sale or lease of any real estate belonging to the City shall be valid unless approved by the Mayor, the Planning Board, the Board of Finance and the Board of Representatives. The Board of Representatives is authorized to enact ordinances governing the purchase, sale, lease or other disposition of such real estate."

Unlike a lease, a license does not convey interest in real property and therefore cannot be transferred to another party.

In the past, licensing agreements have been subject to approval by the Board of Representatives. As recently as May 2012, the Board of Reps approved a licensing agreement that enabled the Mill River Collaborative to use city property for public and private events.

Maureen Boylan, an organizer of Save Our Boatyard, which has demanded the reinstatement of the South End boatyard, said that the boating community would challenge the administration's attempt to bypass the city boards.

Boaters, as well as the city's Harbor Commission, have criticized the plan to locate a boatyard on 205 Magee Ave. Among the concerns is that the site, which sits along the eastern channel of Stamford Harbor, is too narrow and heavily trafficked.

"It's just more gamesmanship," Boylan said, of the deal between the mayor and BLT. "We expected this. It's no great surprise and we are going to continue to battle it."

In addition to the opposition, time may also prove to be a factor. Pavia, who has said he would not seek reelection, will be out of office in December. Afterward, the deal will be subject to his successor.

Boylan, who seemed well-aware of the possible urgency at hand, added: "We'll delay the process by whatever means necessary."